Bitcoin and digital currencies may have advantages but these don’t explain their current value.
What does? GREED! There are lots of people getting into the market in order to make money on a virtual currency… Do people make money by simply holding dollars? Not really; it’s a medium of exchange, not an investment vehicle.
I’m absolutely sure the value of Bitcoin will crash, and soon At that point, if it’s allowed to survive at all, it will become the medium of exchange people say it is.
Right now, we’re seeing the final stage of a classic bubble scenario; people who have little idea what Bitcoin is and have no other use for it are piling in, speculating that it will continue to rise in value.
I can’t say when someone will pull the panic lever- but when it happens, millions of accounts will try to liquidate all at once, there will be a Titanic traffic jam as everyone rushes for the exit at the same time- and only those few who got out early will survive unscathed.
Since there is no intrinsic value to the coin- it isn’t backed by banks or governments or even the value of metal it’s stamped from- there is no ‘bottom’. I think it could drop from $20k/Bitcoin to a twentieth of a penny in a matter of hours.
When it does, then and only then will it finally become what its creators and proponents envision; a digital medium of exchange from one investment to another, rather than the asset itself.
We’ll see who’s right; I’m on the side of ‘the end is nigh!’ The only real question I have left is whether Bitcoin will be allowed to survive its fall.
The videos posted here were fascinating, too- there’s about to be an awful lot of excess financially optimised computing power available in the world. I wonder what else one could do with it?
there are lots of people who make money on forex, buying and selling currencies. i don’t really follow the current events in cryptoland but i think there are governments backing it, or at least regulating exchanges and stuff. japan and china come to mind, maybe india too. not sure. i expect eventually fiat will crash before crypto, the governments are constantly mismanaging money and driving the value of what you do have down even further by printing more and more to cover their mismanagement. crypto tries to solve that in various ways but it is not really decentralized because the developers have complete control. or if someone were to control 51% of the coins or a majority of the hashpower they become the central authority. other coins are attempting to solve that problem by having completely decentralized development which i think is the only logical next step.
That is actually what is driving current price of bitcoin up. CME is one of the biggest derivative markets so it can make bitcoin available to wider public and institutional investors. Those who were limited to certain types of instruments (e.g. funds that have some internal policies) will be able to finally trade bitcoin.
There is speculation behind current upside that once futures are available the demand from wide public will increase.
Futures are next logical step in bitcoin markets. I hope we will see bitcoin ETF in 2018.
wow potcoin currently has a 29 million market cap. paragon only has 15 million market cap but is worth almost twice as much per than POT $0.13 vs $0.23. if you are looking for an exchange for trading altcoins i’d recommend binance it only requires an e-mail address for a 2 BTC/day withdrawal limit and the fees are only 0.1% - half that of poloniex or bittrex.
i needed to find an exchange for trading my STEEM / SBD in to bitcoins and this was so much more convenient than the exchanges which require a picture of your passport and utility bills etc, although verifying raises your daily limit to 100 BTC. the exchange is based of out hong kong i believe so doesn’t have same requirements as US based exchanges.
